Morning News Call - India, September 5

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FACTORS TO WATCH
10:00 am: Junior Finance Minister Shiv Pratap Shukla at passing out ceremony
of IRS (C&CE) Officers in New Delhi.
12:30 pm: S&P Global Ratings webcast on the Indian banking and corporate
sector in Mumbai.
LIVECHAT - EQUITIES WATCH
Join our Reuters correspondents in London and New York for a discussion on
the stock markets and company earnings at 6:30 pm IST. To join the conversation,
click on the link: here
INDIA TOP NEWS
• Lockheed to make wings for F-16 jet in India with partner Tata
Lockheed Martin will build wings for its F-16 combat plane in India with its
local partner, Tata Advanced Systems, an executive at the U.S. company said on
Tuesday.
• Flood-hit Kerala state faces shortages of 'rat fever' drug
Flood-ravaged Kerala state is facing shortages of a drug that fights an
infectious bacterial disease after the worst flooding in a century, forcing
authorities to turn to other states to help ramp up supplies.
• U.S., India to discuss sale of drones, exchange of satellite data
The United States and India will seek to finalise a number of defence
agreements during high-level talks this week that aim to draw their two
militaries closer and counter-balance China's influence in the region.
• India's economic affairs secretary tries to calm investors as markets
spooked by rule changes
Overseas investors of Indian origin are allowed to buy up to 5 percent in
any security under current regulations, India's economic affairs secretary
Subhash Chandra Garg said on Tuesday, in a bid to calm markets after recent
regulatory changes.
• Fortis Healthcare's Shivinder Singh sues brother, breaks business ties
Fortis Healthcare co-founder Shivinder Singh said on Tuesday he had filed a
lawsuit against older brother Malvinder Singh, alleging "oppression and
mismanagement" at their joint businesses.
• Amazon India unveils Hindi website, app in battle with Flipkart
Amazon.com on Tuesday launched a Hindi version of its mobile website and app
for Android smartphones in a bid to make deeper inroads into India's
fast-growing e-commerce market, stepping up its battle with Walmart's Flipkart
unit.
• Qatar Airways rethinks Indian plans due to foreign ownership rules
Qatar Airways is reviewing plans for its own domestic Indian airline due to
"confusing" foreign ownership rules and could opt to could work with a partner
in India or take a stake in IndiGo instead, its chief executive said on Tuesday.
• Delhi backs incentives for clean energy switch to combat pollution
Authorities in the Indian capital Delhi approved measures on Tuesday to
encourage businesses to use clean energy as one of the world's worst polluted
cities stepped up the fight against deadly air pollution.
GLOBAL TOP NEWS
• China services sector growth slows further in August, inflation pressures
rising-Caixin PMI
Growth in China's services sector weakened again in August as new business
picked up only slightly from July's more than two-year low, a private survey
showed.
• Amazon touches $1 trillion, on pace to overtake Apple
Amazon.com on Tuesday briefly joined Apple to become the second $1 trillion
publicly listed U.S. company after its stock price more than doubled in a year
as it grew rapidly in retail and cloud computing.
• JD.com CEO was arrested on allegation of rape -police report
The founder and chief executive of Chinese retailer, Richard Liu, was
arrested in Minneapolis last week following an allegation of rape, according to
a public information report released by police on Tuesday.
LOCAL MARKETS OUTLOOK
(As reported by NewsRise)
• SGX Nifty nearest-month futures were trading at 11,553.00, down 0.3
percent from its previous close.
• The Indian rupee is expected to open higher against the dollar as Asian
currencies staged a minor recovery, led by the Chinese yuan.
• Indian government bonds may edge higher in early trade today as the local
currency is expected to appreciate against the dollar after falling to a record
low yesterday. The yield on the benchmark 7.17 percent bond maturing in 2028 may
trade in an 8.02 percent-8.08 percent band today, a dealer with a private bank
said.
GLOBAL MARKETS
• U.S. stocks fell on Tuesday as trade concerns lingered and declines in
Facebook and Nike shares weighed on Wall Street's major indexes, though data
showing U.S. manufacturing activity accelerated in August kept losses in check.
• Stock markets in Asia tracked their global peers lower while the
safe-haven dollar hovered near a two-week high as heightened worries over
international trade conflicts curbed investor appetite for riskier assets.
• The dollar largely held onto gains as the lingering threat of a major
escalation in the trade conflict between the United States and China weighed on
risk sentiment.
• U.S. Treasury yields rose to three week highs on Tuesday after data showed
that U.S. manufacturing activity accelerated to a more than 14-year high in
August, and on heavy corporate debt supply.
• Oil prices fell, partly reversing a strong jump from the previous day, as
the impact of a tropical storm on U.S. Gulf coast production was not as strong
as initially expected.
• Gold held near one-week lows touched in the previous session, as global
trade tensions and emerging market concerns boosted demand for the U.S dollar,
undermining the metal's safe haven status.
CLOSE FII INVESTMENTS EQUITIES DEBT
PNDF spot 71.51/71.54 September 4 $4.56 mln -$152.80 mln
10-yr bond yield 8.1 pct Month-to-date -- -$253.38 mln
Year-to-date -$654.54 mln -$5.40 bln
For additional data:
India govt bond market volumes
Stock market reports
Non-deliverable forwards data
Corporate debt stories [IN CORPD]
Local market closing/intraday levels [IN SNAPSHOT]
Monthly inflows [INFLOWS RTRS TABLE IN]
($1 = 71.58 Indian rupees)
(Compiled by Benny Thomas in Bengaluru)